SANTA CLARA, CALIFORNIA / RankWire.AI / – Nvidia has announced a $12.93 billion agreement to acquire the AI platform Hugging Face. The companies finalized the deal on September 2, 2026. Nvidia will provide approximately $11.9 billion to Hugging Face shareholders, subject to usual adjustments. Additionally, the agreement includes up to about $1 billion in equity-based retention awards aimed at eligible employees. Nvidia anticipates the closing of this acquisition in the first half of 2027, pending regulatory approvals and other closing requirements.
Hugging Face operates one of the largest platforms for sharing AI models, datasets, software tools, and applications. Nvidia reports that this service reaches more than 18 million developers, researchers, and creators worldwide. Its platform hosts over 3 million models and roughly 500,000 datasets. The platform also offers access to more than 1 million applications. Over 200,000 companies utilize Hugging Face’s services for AI development, evaluation, customization, and deployment across various computing environments.
Both companies stated that Hugging Face will remain an open platform after the deal’s completion. Developers will continue to have the freedom to select their models, frameworks, cloud providers, and computing platforms. The use of Nvidia hardware will not become a mandatory requirement for utilizing Hugging Face tools or deploying models via the platform. Hugging Face will also keep supporting open-source and open-weight models from other developers. Its offerings will sustain support for multiple clouds, inference providers, and accelerator platforms, including hardware from other semiconductor firms.
Hugging Face Maintains Open Development Approach
Founded in 2016 by Clément Delangue, Julien Chaumond, and Thomas Wolf, Hugging Face has expanded into hosting models, datasets, developer libraries, and cloud services for AI initiatives. During a funding round completed in August 2023, the company reached a valuation of $4.5 billion, raising $235 million from tech investors. Prior to the acquisition, Nvidia had collaborated with Hugging Face through projects that linked developers with Nvidia’s computing resources and software via familiar Hugging Face development tools.
Nvidia disclosed the agreement in a Form 8-K filed with the U.S. Securities and Exchange Commission on September 3, 2026. The filing confirms that the deal is still pending and has not yet closed. The transaction is awaiting regulatory approval and the fulfillment of standard closing conditions. Nvidia also outlined commitments for the ongoing operation of Hugging Face, including continued access to models and datasets, multi-cloud support, and compatibility with hardware from other semiconductor manufacturers.
Expected Closure in Early 2027
Nvidia already has a significant footprint within the Hugging Face developer community, having published more than 500 models and over 250 open datasets on the platform. The company also offers software libraries and development tools that users can adapt and integrate into their projects. Hugging Face supports developers at various AI development stages, such as model discovery, testing, customization, and deployment. The platform provides infrastructure for companies, research organizations, and independent developers creating AI applications.
The completion of Nvidia’s acquisition of Hugging Face will be subject to ongoing review until all required conditions are satisfied. Nvidia expects the deal to close in the first half of 2027. As per the terms announced, Hugging Face will continue supporting models and tools across the broader AI ecosystem. Developers will retain their options regarding frameworks, cloud platforms, inference providers, and hardware. Both companies have also committed to maintaining Hugging Face’s multi-cloud and multi-accelerator approach after the deal’s completion.